Consumer prices rocket 3.7% in November

At least it's a smaller price hike.

According to the Census & Statistics Department, overall consumer prices rose 3.7% in November over the same month last year, slightly smaller than the corresponding increase of 3.8% in October.

After netting out the effects of the Government's one-off relief measures, the year-on-year rate of increase in the Composite Consumer Price Index was 3.8% in November, the same as that in October.

The slightly smaller increase in the Composite Consumer Price Index was mainly due to smaller increases in private housing rentals.

On a seasonally adjusted basis, the average monthly rate of increase in the Composite Consumer Price Index from September to November was 1.3%, and that from August to October was 1.2%.

Netting out the effects of the Government's one-off relief measures, the average monthly rate of increase in the Composite Consumer Price Index from September to November was 0.4%, the same as that from August to October.

Year-on-year increases in prices were recorded in November for housing (5.2%); meals bought away from home (4.6%); electricity, gas and water (4.6%); food (excluding meals bought away from home) (3.5%); miscellaneous services (2.8% ); transport (2.2%); miscellaneous goods (2.1%); clothing and footwear (2%) and alcoholic drinks and tobacco (1.1%).

Inflation should remain contained in the near term, in view of muted local economic growth and moderated imported inflation.

The volatility of international food and commodity prices amid a global liquidity glut, as well as the pick up in local housing rentals since the early part of 2012, may pose some upside risks to inflation further down the road. The Government will continue to monitor the inflation situation closely, particularly its impact on lower income people.